SoftBank Considering Sale of Fortress Investment Group (2023)

After suffering a record quarterly loss, SoftBank is mulling the sale of a significant player in U.S. real estate.

Masayoshi Son’s firm has started discussions about selling Fortress Investment Group, Bloomberg reported. Son disclosed the talks on Monday, the same day SoftBank announced a $23.4 billion net loss.

Son didn’t mention any specific partners for the discussions regarding Fortress, an important real estate player. Last month, however, Bloomberg reported that Abu Dhabi sovereign wealth fund Mubadala was in talks for a deal that would value Fortress at upwards of $1 billion.

(Video) SoftBank Said to Explore Options Including Fortress Sale

SoftBank announced its acquisition of Fortress, one of New York real estate’s more active lenders, in February 2017. The deal came out to $8.08 per share, or $3.3 billion overall.

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The acquisition was geared towards bringing more investment talent in-house for SoftBank. Fortress was founded in 1998 and went public in 2007 with a $634.3 million IPO, debuting at $18.50 a share.

(Video) SoftBank Buying Back Shares Is Ludicrous: Anvarzadeh

As of the fourth quarter, Fortress has $53.3 billion in assets under management, including real estate and other private credit equity assets worth $34.5 billion. It become a household name in New York real estate in the late 2000s, when it bankrolled Harry Macklowe’s disastrous purchase of the Equity Office portfolio. Fortress also served as a rescue lender for Kent Swig, as detailed in The Real Deal’s new book, “The New Kings of New York.”

Last month, Fortress flipped an industrial property it bought only six months earlier for a $10 million premium. The 50,000-square-foot building in Moreno Valley, California, sold for $29.3 million to Bridge Investment Group.

From last June through February, Fortress spent at least $259 million on small industrial sites across the Inland Empire.

(Video) SoftBank CEO Son Pledges Sweeping Cost Cuts After $23.4 Billion Loss

Recent years haven’t been kind to SoftBank, which took a beating with WeWork’s 2019 implosion and again with the slide in global tech stocks. The company was recently forced to write down the value of companies in its portfolio, including Coupang and SenseTime.

SoftBank has also lost some talent. This year, chief operating officer and WeWork executive chairman Marcelo Claure departed from the investment group amid a compensation disagreement.

— Holden Walter-Warner

(Video) Financial Giant SoftBank Breaks Into Crypto Payments, Launches New Bank Card


Does SoftBank still own Fortress? ›

SoftBank Group agreed to sell its 90% stake in U.S. investment manager Fortress Investment Group to Abu Dhabi-based sovereign-wealth fund Mubadala Investment and Fortress's management, the companies announced.

How much did SoftBank pay for Fortress? ›

Softbank acquired Fortress in 2017 for $3.3 billion.

Is Mubadala in talks to buy asset manager Fortress from SoftBank? ›

Mubadala will own 70% of the equity in Fortress, while Fortress management will hold a 30% equity interest and a class of equity entitling it to appoint a majority of seats on the board, the firms said on Monday. Fortress will continue to operate as an independent investment manager after the deal closes.

Is SoftBank in talks to sell Fortress after logging record loss? ›

(Bloomberg) -- SoftBank Group Corp. has begun talks to sell asset manager Fortress Investment Group, as the Japanese company grapples with record losses, its chief executive said on Monday.

Who is the largest shareholder of SoftBank? ›

  • SoftBank Group Corp. (ソフトバンクグループ株式会社, SofutoBanku Gurūpu Kabushiki-gaisha) is a Japanese multinational investment holding company headquartered in Minato, Tokyo which focuses on investment management. ...
  • The company is known for the leadership of its controversial founder and largest shareholder Masayoshi Son.

What is the difference between SoftBank and SoftBank group? ›

SoftBank Corp. (the “Company”), consolidated to SoftBank Group Corp. is a primary operating company in the group of SoftBank Group Corp.

Why is SoftBank losing money? ›

SoftBank's Vision Fund posted a record loss in the year ended Mar. 31, 2023. The flagship tech investment unit has been hit by the falling prices of tech stocks. Shares of Japanese tech investor SoftBank fell on Friday after the company reported a record loss at its Vision Fund tech investment unit.

How much is Fortress Investment Group worth? ›

Founded in 1998, Fortress manages $44.2 billion of assets under management as of March 31, 2023, on behalf of over 1,900 institutional clients and private investors worldwide across a range of credit and real estate, private equity and permanent capital investment strategies.

How much money has SoftBank lost? ›

SoftBank Vision Fund lost $32 billion in the financial year ending March as the Japanese investment giant, the most prolific global investor in tech startups, continues to suffer from valuation corrections across its portfolio of private and public tech companies amid a weakening global economy.

What percentage of ARM does SoftBank own? ›

In 2017, a 25 percent stake of Arm was transferred to the SoftBank Vision Fund, which received investment from the Saudi sovereign fund.

What are the top SoftBank holdings? ›

Actual Assets Under Management (AUM) is this value plus cash (which is not disclosed). Softbank Group Corp's top holdings are T-Mobile Us Inc (US:TMUS) , Lemonade Inc (US:LMND) , NVIDIA Corporation (US:NVDA) , EQRx Inc (US:EQRX) , and Nu Holdings Ltd. Class A Ordinary Shares (US:NU) .

How many companies are there in SoftBank? ›

The strength of 450+ leading tech companies—direct to your inbox.

Did SoftBank founder son lose $25 billion? ›

It's not a chart of the firm's stock picks. Those are sinking fast. So too is Son's fortune -- at $13.7 billion, it's crashed $25 billion in the past year, according to the Bloomberg Billionaires Index. The chart is SoftBank's loan-to-value ratio, which Son says he checks four times a day.

Is SoftBank undervalued? ›

Softbank is trading at 1.29 times book value, still well below its five-year average. That may provide a good opportunity for bargain hunters. “In our view, if we actually look at these various value components, we feel that SoftBank Group shares are undervalued,” said Macquarie analyst Paul Golding.

How much SoftBank profit from Alibaba? ›

SoftBank booked a gain of $34 billion last year by cutting its stake in Alibaba to 14.6% from 23.7%, as the firm sought to shore up its cash reserves amid steep losses incurred by its Vision Fund.

How much debt does SoftBank have? ›

The debt totaled $5.2 billion, according to Bloomberg calculations based on company disclosures. The 65-year-old billionaire holds 17.25% of a vehicle set up under SoftBank's Vision Fund 2 for its unlisted holdings, as well as 17.25% of a unit within the company's Latin America fund, which also invests in startups.

Why is SoftBank selling baba? ›

The move, a bid to unlock shareholder value and improve competition—an apparent nod to tough-on-tech regulators who spurred two years of dramatic stock-price declines—was a key sign of a sea change in the Chinese tech sector. SoftBank moving even further out the door would be yet another.

What is SoftBank debt to equity ratio? ›

Compare SFTBY With Other Stocks
SoftBank Group Debt/Equity Ratio Historical Data
DateLong Term DebtDebt to Equity Ratio
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Who owns Fortress Investment Group? ›

What US companies does SoftBank own? ›

SoftBank Corp. Companies
  • A Holdings Corporation. Strategic holding company that owns of Z Holdings Corporation shares.
  • AGOOP Corp. Location-based big data business. ...
  • ALES Corp. ...
  • AXSEED,Inc. ...
  • BB Backbone Corporation. ...
  • BB Satellite Corp. ...
  • BBIX, Inc. ...
  • BBSS Corporation.

Is SoftBank a good company? ›

SoftBank Reviews FAQs

Is SoftBank a good company to work for? SoftBank has an overall rating of 3.4 out of 5, based on over 264 reviews left anonymously by employees. 66% of employees would recommend working at SoftBank to a friend and 60% have a positive outlook for the business.

Did SoftBank report $23 billion loss as tech investments plummet? ›

The Japanese conglomerate SoftBank reported on Monday its largest-ever quarterly loss, $23.4 billion, driven by poor performance of its flagship tech investments and a weak yen.

What is SoftBank earnings forecast? ›

NET PROFIT FORECAST: SoftBank Group is expected to post a net profit of 486.80 billion yen ($3.60 billion) for the quarter ended March 31, according to a poll of analysts by Visible Alpha.

Who backs SoftBank? ›

The largest investor of the first Vision Fund is the Public Investment Fund of Saudi Arabia contributing $45 billion of the $100 billion fund.

Who are the largest shareholders of New Fortress Energy? ›

Top Institutional Holders
HolderSharesDate Reported
Great Mountain Partners LLC25,559,846Mar 30, 2023
Fortress Investment Group LLC13,399,317Mar 30, 2023
Capital World Investors10,786,501Mar 30, 2023
Vanguard Group, Inc. (The)5,919,648Mar 30, 2023
6 more rows

Who is the largest investment group in the world? ›


BlackRock (BLK) is the largest investment firm in the world. It manages $8.6 trillion in assets as of Dec. 31, 2022.

What happened with Fortress? ›

When Fortress launched on the NYSE in February 2007, it was the first large private equity firm in the US to be traded publicly. In December 2017, Fortress was fully acquired by SoftBank Group, was delisted, and returned to being a privately held company.

Is SoftBank a good investment? ›

Overall, SoftBank Group Corp stock has a Value Grade of C, Quality Grade of C, Momentum Grade of C . Whether or not you should buy SoftBank Group Corp stock will ultimately depend on your individual goals, risk tolerance and allocation.

How much of T Mobile is owned by SoftBank? ›

Japanese holding company Softbank owns about 61 million T-Mobile shares, or 5% of the company. The investment originated from Softbank's 2013 merger with Sprint, which later merged with T-Mobile in 2020.

What is the dividend yield of SoftBank stock? ›

How much is Softbank Corp's dividend? SFTBY pays a dividend of $0.06 per share. SFTBY's annual dividend yield is 0.59%.

What will SoftBank do with arm? ›

By listing Arm, SoftBank could more easily use those shares instead, possibly enabling a renewed investment push by the Vision Fund. The conglomerate in March 2022 raised around 1 trillion yen from lenders by using its Arm stake while the unit was still unlisted.

How much will ARM sell for? ›

How much is ARM worth? The ARM IPO is expected to value the company at $40 billion, or £34 million - although the company has said it's aiming for a minimum of $50 billion. That's still significantly less than it's previous valuation in 2021, when ARM was valued at $80 billion amid the deal with NVIDIA.

How many portfolio companies does SoftBank have? ›

The strength of 450+ leading tech companies—direct to your inbox.

What is the investment range of SoftBank? ›

The usual things for fund are deals in the range of more than 100 millions dollars. When the investment is from SoftBank the average startup value is more than 1 billion dollars. The high activity for fund was in 2019.

Is SoftBank private equity or venture capital? ›

SoftBank Capital is a venture capital group in the United States, focusing on technology and telecom early stage businesses.

What is the difference between venture capitalists and private equity firms? ›

Private equity funds refer to investments made by investors for investment purposes. Whereas, venture capital refers to funding to those ventures that are backed by new entrepreneurs, have high risks, and who require money to shape their ideas.

Who are SoftBank competitors? ›

SoftBank Group's competitors and similar companies include Hughes Satellite Systems, Singtel, Windstream and Cyfrowy Polsat.

What is SoftBank annual income? ›

SoftBank Group annual net income for 2021 was $45.054B, a 609.92% decline from 2020. SoftBank Group annual net income for 2020 was $-8.836B, a 169.49% decline from 2019.
Compare SFTBY With Other Stocks.
SoftBank Group Annual Net Income (Millions of US $)
8 more rows

Is SoftBank a Fortune 500 company? ›

SoftBank Group | 2022 Global 500 | Fortune.

How much did SoftBank lose from WeWork? ›

The company also disclosed another loss on its investment in WeWork: SoftBank wrote down the value of loans it made to the company by $1.8 billion. SoftBank had already pumped more than $10 billion into the company when it viewed it as a promising startup valued like a tech company.

Which SoftBank executive wants $2 billion in pay? ›

The New York Times is reporting that Marcelo Claure, the chief operating officer of SoftBank who was brought in by its founder, Masayoshi Son, to clean up messy investments in money-losing tech start-ups, are in a battle over the compensation for doing so — to the tune of $2 billion over the next few years.

Did SoftBank lose money on Uber? ›

Japanese giant SoftBank dumps its entire stake in Uber as losses mount at its investment unit.

What is the most undervalued stocks? ›

Undervalued Growth Stocks
SymbolNamePrice (Intraday)
SUSuncor Energy Inc.28.69
VTRSViatris Inc.9.12
MPCMarathon Petroleum Corporation109.46
DVAXDynavax Technologies Corporation11.20
21 more rows

What is SoftBank stock target price? ›

Stock Price Targets
Current Price$18.31

Does SoftBank ever make money? ›

A year later, it reported its largest-ever annual profit: $46 billion, fueled by surging tech prices and a hot I.P.O. market that sent the company's investments in companies like DoorDash and the South Korean e-commerce giant Coupang soaring.

Why is SoftBank so rich? ›

In October 1999, SoftBank became a holding company. In 2000, SoftBank made its most successful investment – $20 million to a then-fledgling Chinese Internet venture called Alibaba. This investment turned into $60 billion when Alibaba went public in September 2014.

Who is the biggest shareholder of Alibaba? ›

Here are Alibaba's five largest individual and institutional shareholders as of Q3 2022, unless otherwise indicated.
  1. SoftBank Group. SoftBank's stake in Alibaba is equivalent to approximately 24% of the company; it is Alibaba's largest shareholder. ...
  2. Jack Ma. ...
  3. Joseph Tsai. ...
  4. Goldman Sachs. ...
  5. Primecap Mgmt.

Who is the richest man in the world Alibaba? ›

Jack Ma Net Worth: The Chinese billionaire's fortune took a slight hit in 2016 but continued to gain marginally over the next few years after zooming to a whopping $48.4 billion in 2021.

Who owns Fortress Credit Corp? ›

SoftBank Group

Who owns Fortress brands? ›

We're Alex and Matt Beer — brothers, Co-Founders and Co-CEOs of Fortress Brand. In 2012 as early adopters of the Amazon marketplace, we developed a deep knowledge of the platform and uncovered market trends to help bring nutritional supplements to the DTC market.

How big is fortress investment? ›

Overview. Fortress Investment Group LLC is a leading, highly diversified global investment manager with approximately $44.2 billion(1) of assets under management as of March 31, 2023.

Is Fortress Investment Group a good company to work for? ›

Is Fortress Investment Group a good company to work for? Fortress Investment Group has an overall rating of 3.9 out of 5, based on over 195 reviews left anonymously by employees. 68% of employees would recommend working at Fortress Investment Group to a friend and 90% have a positive outlook for the business.

How many employees does Fortress have? ›

Fortress Investment Group has 2,533 employees.

Who are fortress investment competitors? ›

Fortress Partners's competitors include Franklin Templeton India, ARK Investment Management, First Trust Portfolios, GAMCO. Fortress Partners ranks 74th among 138 active competitors.

Is Fortress a private equity company? ›

Founded in 1998, Fortress Investment Group is a private equity firm based in New York, New York. The firm seeks to invest in companies operating in the financial services, transportation, energy, infrastructure and healthcare sectors.

Is Fortress Investment Group a public company? ›

IPO & Stock Price

Fortress Investment Group is registered under the ticker NYSE:FIG . Their stock opened with $18.50 in its Feb 9, 2007 IPO.

What is the revenue of the Fortress brand? ›

Fortress Brand's revenue is $37.6 Million What is Fortress Brand's SIC code?

How much of Alibaba is owned by SoftBank? ›

SoftBank booked a $34 billion gain last year by cutting its Alibaba stake to 14.6% from 23.7%, as the firm sought to shore up cash reserves amid steep losses incurred by its Vision Fund.


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